Effects of Marketing Strategies on Product Line Margins Amongthe Cassava Microenterprises in Migori County, Kenya

Abstract

Cassava (Manihot esculenta L.) micropreneurs ought to be strategic in marketing their products for relatively better marketing margins. Cassava production, utilisation, and marketing in Kenya is low compared with the other starchy food crops mainly maize, potatoes, and wheat. This is due to the presence of cyanide content in cassava which is lethal, when roots are mishandled, leading to avoidance of the crop by potential consumers. This has affected its marketing and consumption in the country. However, cassava microenterprises have begun to commercialize it due to support from the development partners in the country. Therefore, to achieve the purpose of this study, three objectives were addressed: To identify product lines and the marketing strategies; to determine relationships between marketing strategies and the product lines; to establish the determinants of choice and the effects of marketing strategies on product line margins among cassava microenterprises. Theories of Market Orientation and Strategic Management guided the study. This study was conducted in Migori County (Kuria West, Suna East, Suna West, and Uriri Sub-counties) in Kenya using a semi-structured questionnaire, administered to a sample of 267 cassava microenterprises, which was obtained using simple random sampling technique. The data was analysed using descriptive and inferential statistics. Results showed that the main cassava product lines prevailing in the area of study included fermented dried pellets (63.99%), raw tubers (19.94%), and unfermented dried cassava pellets (15.79%). Other cassava-based product (local brew) was involved the least (0.28%). The most used marketing strategies respectively were the pricing, product promotion, value addition and the formation of marketing alliance mutually inclusive. Multivariate Probit results showed that age, gender, years of schooling, household size, major occupation (trading) marketing experience, seed money, entrepreneurial training, marketing information, market distance, group membership, farm gate and open-air marketing outlets significantly (p<0.05) influenced the choice of marketing strategies. Such choices led to the following marketing margins per product lines as follows: Fermented pellets (KSh. 50), unfermented pellets (Ksh. 45), raw tubers (KSh. 30), and other cassava-based products as (Ksh. 15). The study recommends that cassava microenterprises to combine marketing strategies (Pricing, promotion and product improvement) that give maximum marketing margins on highly demanded cassava products (fermented and and unfermented pellets) hence better performance. The findings of the study would be useful to scholars, agripreneurs, development partners, and governments (National and the County) in policy-making and implementation towards promotion of the underutilised and potential food and cash crops in the country.